My top 10 things to watch Wednesday, Oct. 23 1. The S & P 500 was heading for a lower open — and if the decline continues through to the close, it will mark the third consecutive down session. Rising bond yields on Wednesday were again adding pressure on stocks. The big earnings report after the bell is from Tesla . 2. Starbucks pulled guidance in a preannouncement to next week’s earnings. And, why not? It is not Brian Niccol’s Starbucks, yet. But he’s formulating plans and putting everything in place. I think the new CEO’s strategy of the community coffee house can work. Global comp sales down twice what we thought. I heard all of this when Niccol got the CEO job at Chipotle in March 2018 when that stock was at $6. 3. GE Vernova is an orders story and the orders are extraordinary. Both natural gas power and electrification, which is the real story. The new data centers are going to be much bigger than people think and be powered by growth of the grid, which GE Vernova is uniquely suited to service. Winding down off-shore wind. On-shore just had its best quarter. This company is not a nuclear story. No new nukes until 2032. But it can add to its current fleet. 4. McDonald’s shares dropped more than 6% after news of an E. coli outbreak linked to the fast food-chain’s Quarter Pounders. The CDC said there are 49 cases in 10 states in the Midwest and the West. One death. The problem seems to be with the onions by a single source. 5. Net wireless subscriber adds for AT & T were more than 400,000 in the third quarter, exceeding expectations and driven by higher-tier, unlimited plans. The company beat on earnings per share (EPS) but missed on revenue. 6. Boeing reported a more than $6 billion loss for the third quarter. That was the troubled aircraft maker’s biggest since 2020 when Covid halted demand and its best-selling jet was grounded after two crashes. The culture at Boeing must change. New CEO Kelly Ortberg is working on those changes. 7. Coca-Cola beat on quarterly EPS and revenue as higher prices made up for softer demand. No real net impact from the GLP-1 weight-loss and diabetes drugs made by Novo Nordisk and Club name Eli Lilly . 8. Arm is declaring war on Qualcomm , giving 60-day notice on the cancellation of a key license agreement. Shares of both companies are lower on the news reported by Bloomberg . In other chip news, Nvidia CEO Jensen Huang met with the king of Denmark to launch that country’s largest sovereign AI supercomputer. It’s named Gefion after a goddess in Danish mythology. A company backed by Novo Nordisk will run it. 9. Amazon added discounted gasoline to its menu of Prime offerings. The Club name said Prime members get a discount of 10 cents per gallon. The perk is good at about 7,000 gas U.S. stations operated BP, Amoco, and ampm. Amazon plans to add an electric vehicle charging discount next year. 10. Danaher price targets are all over the place among the analysts on Wall Street. The quarterly results Tuesday were all about growing orders in bioprocessing, a key area for the Club company and one that had been a drag on earnings for several quarters. We upgraded the stock to our buy-equivalent 1 rating and increased our price target to $305 per share from $295. Sign up for my Top 10 Morning Thoughts on the Market email newsletter for free (See here for a full list of the stocks at Jim Cramer’s Charitable Trust.) As a subscriber to the CNBC Investing Club with Jim Cramer, you will receive a trade alert before Jim makes a trade. Jim waits 45 minutes after sending a trade alert before buying or selling a stock in his charitable trust’s portfolio. If Jim has talked about a stock on CNBC TV, he waits 72 hours after issuing the trade alert before executing the trade. THE ABOVE INVESTING CLUB INFORMATION IS SUBJECT TO OUR TERMS AND CONDITIONS AND PRIVACY POLICY , TOGETHER WITH OUR DISCLAIMER . NO FIDUCIARY OBLIGATION OR DUTY EXISTS, OR IS CREATED, BY VIRTUE OF YOUR RECEIPT OF ANY INFORMATION PROVIDED IN CONNECTION WITH THE INVESTING CLUB. NO SPECIFIC OUTCOME OR PROFIT IS GUARANTEED.
Brian Niccol speaking on CNBC’s Squawk Box on Oct. 30th, 2018.
Anjali Sundaram | CNBC
My top 10 things to watch Wednesday, Oct. 23
1. The S&P 500 was heading for a lower open — and if the decline continues through to the close, it will mark the third consecutive down session. Rising bond yields on Wednesday were again adding pressure on stocks. The big earnings report after the bell is from Tesla.
2.Starbucks pulled guidance in a preannouncement to next week’s earnings. And, why not? It is not Brian Niccol’s Starbucks, yet. But he’s formulating plans and putting everything in place. I think the new CEO’s strategy of the community coffee house can work. Global comp sales down twice what we thought. I heard all of this when Niccol got the CEO job at Chipotle in March 2018 when that stock was at $6.
3.GE Vernova is an orders story and the orders are extraordinary. Both natural gas power and electrification, which is the real story. The new data centers are going to be much bigger than people think and be powered by growth of the grid, which GE Vernova is uniquely suited to service. Winding down off-shore wind. On-shore just had its best quarter. This company is not a nuclear story. No new nukes until 2032. But it can add to its current fleet.
